"Taking control" of the Federal Reserve, Trump has never given up.

The independence of the Federal Reserve continues to face pressure from the White House.

According to Wall Street News, the U.S. Supreme Court this week temporarily blocked President Trump from firing Federal Reserve Board member Lisa Cook. However, this ruling not only failed to dampen the White House's willingness to act, but instead led the Trump camp to see a new procedural breakthrough and quickly stepped up the comprehensive penetration of the Federal Reserve.

After the Supreme Court ruled that Cook could remain temporarily due to "procedural defects," Trump said in an interview with CNBC on Thursday that the government would launch a new removal process. Trump stated:

We will initiate this process, and we will make it procedurally sound and procedurally perfect.

According to reports citing sources, Cook and former Fed Chairman Jerome Powell are both targets, and Trump allies are actively exploring new ways to remove the two from the Federal Reserve.

Meanwhile, the vacancy for the Atlanta Fed president is seen by the White House as another wedge opportunity. According to reports, Treasury Secretary Scott Bessent has been using his network to identify potential candidates.

The Atlanta Fed president will participate in interest rate voting in 2027, and their close tracking and analysis of economic growth is also highly valued by the Trump economic policy team.

Procedural Loss, but Action Continues

The U.S. Supreme Court ruled on Monday that President Trump currently does not have the authority to remove Federal Reserve Board member Lisa Cook.

Chief Justice John Roberts clearly stated in the ruling opinion that this verdict only applies to the specific circumstances of this case and is not universally applicable.

Trump did not give Cook a proper hearing process. U.S. courts have not made a substantive ruling on whether the accusations against Cook constitute sufficient legal grounds for dismissal.

According to reports citing sources, allies have taken this ruling as an operational guide and are studying how to advance the removal action again while complying with procedures. Even if the next attempt may still lead to litigation, the White House has no intention of backing down.

Trump last August proposed removing Cook on grounds of alleged "mortgage fraud"—a move unprecedented in the history of the Federal Reserve. Cook denied the allegations and filed a lawsuit to block the removal, leading the case to the Supreme Court.

Powell: Staying in Office Makes Him a Target

Analysts believe Powell's situation is equally precarious.

According to reports citing multiple sources, Trump is deeply dissatisfied that Powell remains as a board member at the Federal Reserve after his term as chairman ended.

At the end of May, Powell attended the Kennedy "Courage" award ceremony and gave a speech praising the U.S. Congress for "wisely" isolating monetary policy decisions from political pressure, which particularly angered Trump.

Wall Street News reported that White House National Economic Council Director Kevin Hassett stated:

I am concerned about Powell staying on.

Hassett noted that some people inside the Federal Reserve vote out of opposition to Trump rather than for the public good.

Powell's term as a board member extends to 2028. He previously stated he would keep a low profile but also made clear that it was the administration's continued legal pressure that led him to decide to stay.

The U.S. Department of Justice previously launched a criminal investigation into Powell over cost overruns of the $2.5 billion renovation project at the Fed's Washington headquarters. Powell characterized it as the price for the Fed's refusal to set interest rates according to Trump's wishes.

Although U.S. Attorney for the District of Columbia Jeanine Pirro said in April that the investigation had been dropped, she also stated that she would still review the upcoming inspector general report, leaving room for the investigation to be reopened at any time.

According to reports, White House officials and allies are hoping for the inspector general's report or other channels to find a breakthrough to push Powell out.

Atlanta Fed: A Different Infiltration Route

The battle for the position of regional Fed president is another front for Trump to reshape the influence landscape of the Federal Reserve.

The vacancy at the Atlanta Fed stems from the departure of former president Raphael Bostic in February, who had repeatedly emphasized the tail risks of inflation.

According to reports citing sources, the search for the position had entered a deep phase in May.

However, given that the new chairman, John Warsh, is about to be formally nominated, Fed Vice Chair Michelle Bowman and then-board member Stephen Miran suggested suspending the selection process.

These two officials appointed by Trump believe that the process should wait until Warsh is formally sworn in before proceeding, to ensure he has a say in the final candidate.

The selection process for the position has recently been restarted. According to two sources, Warsh is looking for candidates with private sector leadership experience.

Per regulations, regional Fed presidents are appointed by local boards, and candidates must then be approved by the Federal Reserve Board of Governors in Washington. Atlanta Fed board chair and president search committee chair Greg Haile said the Fed is "committed to selecting the best candidate to serve the Sixth District through proper procedures."

Rate Cut Outlook Dims, Political Pressure Continues

The background of the White House's continued pressure on the Fed is the significant narrowing of the possibility of rate cuts this year.

According to the Fed's June forecast, about half of officials believe it may be necessary to raise rates this year, and the inflation outlook has worried many regional Fed presidents.

White House spokesperson Kush Desai did not comment on the specific content of the reports but said the Trump administration's "supply-side policies are cooling inflation and paving the way for rate cuts," and emphasized that the entire administration has full confidence in current Chairman Warsh.

Warsh publicly supported lowering interest rates during the early stages of his nomination, aligning with Trump's stance.

However, the resurgence of inflationary pressures has raised greater questions about the White House's intent and actual effect of using personnel arrangements to influence monetary policy.

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